From record applications to rapid resolutions: the FWC’s year in review

Have you ever wondered what the role of the Fair Work Commission (FWC) is? The FWC, also known as the Commission, is an independent national workplace relations tribunal and its tasked with resolving workplace disputes, making awards, and approving enterprise agreements, Over the last year, its broken records, reminding employers across Australia that if they’re not compliant it’s only a matter of time before they get caught.

In this article, we point out the recent feats of the FWC and remind employers why workplace compliance is a must.

Record number of applications

In the 2023-24 financial year, the FWC received an unprecedented 40,188 applications, the highest since the introduction of the Fair Work Act in 2009. Despite this surge, the FWC maintained an impressive 97.5 per cent clearance rate, with 92 per cent of claims processed within three days of lodgement.

So, what does this mean for employers? Record numbers could indicate that employees are more aware of their workplace rights than ever before –employers, need to ensure they’re meeting their obligations and mitigating risk. And the best way to avoid becoming a statistic; ensure you’re on top of your HR compliance and follow all workplace rules.

Unfair dismissals and conciliations

During the past 12 months, a significant portion of applications, over 10,000, involved unfair dismissal. The FWC conducted more than 10,300 conciliations, with 76 per cent completed within 35 days of lodgement, surpassing their targets.

When it comes to termination of employment, following procedure is imperative. In an unfair dismissal case from 2023, a small business thought they had followed procedure by issuing a warning letter and conducting regular performance reviews, before terminating an employee, but were found to have dismissed the employee unfairly by the FWC. Why? Because the employer didn’t explain in the warning letter that the employee’s actions could lead to termination – a critical error. With the FWC cracking down on unfair dismissal, we recommend speaking with a workplace expert before letting an employee go.

Bullying and harassment

The FWC excelled in managing stop orders to address workplace bullying or harassment with 99.9 per cent of stop orders being completed within 14 days.

Bullying and harassment can impact employee well-being – opening your company up to WHS and HR risks. Court Services Victoria learnt this the hard way when they were fined $379,157 for a toxic work culture and a psychologically unsafe environment, which included inappropriate workplace relationships and behaviours. This case and the above statistics demonstrate how seriously regulators like the FWC take bullying and harassment – so it’s important for employers to stamp out this unwanted behaviour before it’s too late.

Fair Work Commission’s impact

Over the past year, the FWC has come down hard on non-compliance and they have no plans of slowing down, and with the recent industrial changes, they’re cracking down even more. From the statistics and cases in this article, it’s clear to see that the FWC doesn’t take ‘I didn’t know’ as an excuse. It’s more important than ever to be on top of your HR compliance, and Citation HR has some simple solutions for peace of mind:

• Industry-leading HR Software.
• Comprehensive HR Compliance Audit.
• A wealth of legal IP and resources.
• Compliance Training Centre.
• Trusted advice available 24/7.
• Advice Promise designed to protect your business.

When it comes to HR, we’ll take care of the complicated stuff so you can get back to doing what you do best – running your business. If anything in this article has raised concerns, we’re offering a no-obligation chat to discuss your workplace compliance. Completely free and confidential. You can book your call here.